Gold Fields ESG Overview Sven Lunsche, VP Corporate Affairs September 2016
Forward looking statements Certain statements in this document constitute “ forward looking statements ” within the meaning of Section 27A of the US Securities Act of 1933 and Section 21E of the US Securities Exchange Act of 1934. In particular, the forward looking statements in this document include among others those relating to the Damang Exploration Target Statement; the Far Southeast Exploration Target Statement; commodity prices; demand for gold and other metals and minerals; interest rate expectations; exploration and production costs; levels of expected production; Gold Fields ’ growth pipeline; levels and expected benefits of current and planned capital expenditures; future reserve, resource and other mineralisation levels; and the extent of cost efficiencies and savings to be achieved. Such forward looking statements involve known and unknown risks, uncertainties and other important factors that could cause the actual results, performance or achievements of the company to be materially different from the future results, performance or achievements expressed or implied by such forward looking statements. Such risks, uncertainties and other important factors include among others: economic, business and political conditions in South Africa, Ghana, Australia, Peru and elsewhere; the ability to achieve anticipated efficiencies and other cost savings in connection with past and future acquisitions, exploration and development activities; decreases in the market price of gold and/or copper; hazards associated with underground and surface gold mining; labour disruptions; availability terms and deployment of capital or credit; changes in government regulations, particularly taxation and environmental regulations; and new legislation affecting mining and mineral rights; changes in exchange rates; currency devaluations; the availability and cost of raw and finished materials; the cost of energy and water; inflation and other macro-economic factors, industrial action, temporary stoppages of mines for safety and unplanned maintenance reasons; and the impact of the AIDS and other occupational health risks experienced by Gold Fields ’ employees. These forward looking statements speak only as of the date of this document. Gold Fields undertakes no obligation to update publicly or release any revisions to these forward looking statements to reflect events or circumstances after the date of this document or to reflect the occurrence of unanticipated events. Gold Fields ESG Overview | May 2016 2
H1 2016 results Salient features H1 2016 H1 2015 Attributable gold equivalent production (koz) 1,044 1,036 All-in costs (US$/oz) 1,024 1,108 Net cash from operating activities (US$m) 60 1 Normalised earnings (US$m) 103 8 Normalised earnings (US$/share) 0.13 0.01 Dividend (SA cents/share) 50 4 Net debt (US$m) 1,155 1,477 Net debt to EBITDA (x) 1.05 1.44 Updated FY16 guidance: Production of 2.10-2.15Moz at AIC of US$1,035-1,045/oz Appointment of four new directors – ensures continuity of skills of Board Keeping the focus despite higher gold price, H1 2016 Results, 18 August 2016 3
Regional overview Strong cash generation during H1 2016 Group Production 1,044koz AIC US$1,024/oz Net cash flow* US$60m Ghana Region Production: 346koz (32% of group) All in costs: US$1,052/oz Net cash flow: US$26m inflow Australia Region Production: 466koz (43% of group) All in costs: US$928/oz Net cash flow: US$121m inflow Americas Region Production: 128koz (12% of group) All in costs: US$728/oz South Africa Region Net cash flow: US$19m inflow Production: 140koz (13% of group) All in costs: US$1,257/oz Net cash flow: US$3m outflow *Group net cash flow takes into account interest paid (US$38m), exploration (US$28m – mostly Salares Norte) and Group working capital adjustments (US$37m) Keeping the focus despite higher gold price, H1 2016 Results, 18 August 2016 4
Production and costs ahead of plan 2013 2014 2015 H1 2016 700 1800 Production: 2,022koz Production: 2,219koz Production: 2,159koz Production: 1,044koz AIC: US$1,312/oz AIC: US$1,087/oz AIC: US$1,026/oz AIC: US$1,024/oz 598 1600 600 566 559 557 556 557 548 535 535 1400 515 496 501 477 500 451 1200 400 1000 ‘000 Ounces US$/oz 800 300 600 200 400 100 200 0 0 Q1 2013 Q2 2013 Q3 2013 Q4 2013 Q1 2014 Q2 2014 Q3 2014 Q4 2014 Q1 2015 Q2 2015 Q3 2015 Q4 2015 Q1 2016 Q2 2016 Attr Gold Produced Gold Price AIC Margin starting to widen Keeping the focus despite higher gold price, H1 2016 Results, 18 August 2016 5
Gold Fields Sustainable Development Governance Framework External Reporting of Non Financial Governance SD Framework Performance Data & Structures Regional Procedures Information & Compliance • Board & Sub • Sustainability Monitoring Committees Standards • GRI • Exco • Policies & and • DJSI • Risk Management Guidelines Assurance • CDP & WDP • Tools, metrics and • Finance (Mine • UNGC (Internal & analyses Closure) • FTSE/JSE RII External) • Certificates • Sustainable • Integrated Annual • Systems Development Team Report • ESG rating agencies ESG Investor Confidence Gold Fields ESG Overview | May 2016 6
Internal and External Standards and Principles • ISO 14001 all operations certified • Social and Labour Plans • International Cyanide • Mining Charter (SA only) Management Code: • Group Policies & all eligible operations Guidelines (aligned to are compliant ICMM and UNGC 10 • Carbon Disclosure principles) Project (CDP) • Water Disclosure Project (WDP) Social, Labour & • Group Policies & Environment (Waste, Governance Water, Energy and Guidelines (aligned to Closure) ICMM and UNGC 10 principles) • JSE Listings Requirements • King III Code on • OHSAS 18001 all Corporate Governance operations certified • US Securities and Standards and • Group Policies and Health and Safety principles Exchange Commission Guidelines • Sarbanes-Oxley Act (2002) • International Council on Mining and Metals • Global Reporting Initiative (GRI) G4- Core Sustainability Reporting Guidelines Part of Our Commitment to Stakeholders is Disclosure Gold Fields ESG Overview | May 2016 7
Top Five Sustainability Priorities until 2020 Energy & Climate Change • Develop risk based climate change adaptation strategies with our host communities and for our operations. • Stabilise energy costs at current levels till 2020 and continue evaluating options for renewable energy and other cost effective low emissions energy options Integrated Mine Closure • Ensure an integrated approach to mine closure management with a focus on social closure, post closure water management & liability reduction Water Stewardship • Deliver enhanced operational security and stewardship of shared water resources through innovative technologies and optimal water conservation and demand side management practices Societal Acceptance • Seek societal acceptance by focusing on building strong relationships with our key stakeholders, sharing value, enhanced impact management and targeted stakeholder communication Integrated Thinking • Facilitate business-wide integration of sustainability Gold Fields ESG Overview | May 2016 8
2016 Group Balanced Scorecard 40% Sustainability Component We follow an Integrated Approach Group Balance Score Card is aligned to the risks and integrated into the business Gold Fields ESG Overview | May 2016 9
Achievements – 2015/2016 Ghana: Development Agreement with the Government of Ghana finalised for Tarkwa and Damang: • Corporate tax reduced from 35% to 32.5% with effect from 17 March 2016 • Change in the royalty rate from a flat 5% of revenue to a sliding scale based on the gold price with effect from 1 January 2017 • US$20m investment in road infrastructure in communities near our mines IAR ranked as Excellent in EY Integrated Reporting Awards since 2010 Won the Mining and Resources sector award in the 2016 Excellence in Corporate Reporting awards of the Investment Analysts Society (IAS) of Southern Africa Carbon Disclosure Project: SA CDLI Score 100%, Performance A-; Recognition for consistently being in Climate Disclosure Leadership Index (CDLI) for more than 6 years and Climate Performance Leadership Index (CPLI) for more than 3 years CDP Water: B (second out of seven rankings) Dow Jones Sustainability Index (DJSI): Company Score 80%, Percentile Ranking 86% Top ranked South African mining company in the 2015 Sustainability Yearbook Identified by Corruption Watch as the most transparent company in South Africa JT Ryan award for safest gold mine in South Africa 2016 Gold Fields ESG Overview | May 2016 10
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